Comments on: Why Now Is A Great Time To Buy Goolge (GOOG) http://www.contrarianprofits.com/articles/why-now-is-a-great-time-to-buy-goolge-goog/9018 Access market-beating ideas from the world's top investment gurus on stock market investing, the gold market, ETFs, Forex trading and real estate values. Tue, 24 Nov 2009 15:08:08 -0500 http://wordpress.org/?v=2.8.5 hourly 1 By: Rossjb http://www.contrarianprofits.com/articles/why-now-is-a-great-time-to-buy-goolge-goog/9018/comment-page-1#comment-10876 Rossjb Fri, 23 Jan 2009 00:43:28 +0000 http://www.contrarianprofits.com/?p=9018#comment-10876 Nice thoughts on Google, but I'm not so sure .....Some clever accounting interpretation by them and THAT you can be assured of. Take Google's stated TAC as an example ..........My reply is to another poster (on another site) who has opined, that: <Google TAC drops to 27% down from 28% over Q3. LOOK's TAC is 65% and GROWING!!! Google's TAC are shrinking and delivering more revenues to its own sites. Now that is how you do business.> Google reported revenues of $5.70 billion. Google have stated...........In the fourth quarter of 2008, that TAC totaled $1.48 billion, or 27% of advertising revenues. - YES, that's correct...As a percentage of total advertising revenues Google-owned sites generated revenues of $3.81 billion, or 67% of total revenues So, Google's partner sites have then (obviously), generated $1.89 billion. TAC - Traffic Acquisition Costs, (we are told) is the portion of revenues shared with Google's partners, and that it decreased to $1.48 billion And $1.48B on $1.89B is a massive TAC of 78.31% for starters!! But wait!! There's more .....A lot more!! And that MORE involves (for starters), as Google have put it....That total of $190 million, that has been <................. paid to "certain distribution partners and others", who direct traffic to our website. > .............And this appears NOT to have been included within the TAC costs figures, either..... So, it's clear for all to see, that Google's "true" TAC is OVER 80%. And it appears to me that Google is paying out $190 million to various Ad Networks (and even some to publishers within Looksmart's OPEN Exchange too, no doubt) for that priviledge of having it's "DoubleClick Ads" appear on publisher sites, within the Global Exchange Marketplace!!!! Cheers and good luck. With the much more fairer and transparent (for advertisers) advent of (Global) OPEN Exchanges, I feel Google will need some. Times are a changing. But only an opinion. Rossjb. Nice thoughts on Google, but I'm not so sure …..Some clever accounting interpretation by them and THAT you can be assured of. Take Google's stated TAC as an example ……….My reply is to another poster (on another site) who has opined, that:

<Google TAC drops to 27% down from 28% over Q3. LOOK's TAC is 65% and GROWING!!! Google's TAC are shrinking and delivering more revenues to its own sites. Now that is how you do business.>

Google reported revenues of $5.70 billion.

Google have stated………..In the fourth quarter of 2008, that TAC totaled $1.48 billion, or 27% of advertising revenues. – YES, that's correct…As a percentage of total advertising revenues

Google-owned sites generated revenues of $3.81 billion, or 67% of total revenues

So, Google's partner sites have then (obviously), generated $1.89 billion.

TAC – Traffic Acquisition Costs, (we are told) is the portion of revenues shared with Google's partners, and that it decreased to $1.48 billion

And $1.48B on $1.89B is a massive TAC of 78.31% for starters!!

But wait!! There's more …..A lot more!! And that MORE involves (for starters), as Google have put it….That total of $190 million, that has been <…………….. paid to "certain distribution partners and others", who direct traffic to our website. > ………….And this appears NOT to have been included within the TAC costs figures, either….. So, it's clear for all to see, that Google's "true" TAC is OVER 80%.

And it appears to me that Google is paying out $190 million to various Ad Networks (and even some to publishers within Looksmart's OPEN Exchange too, no doubt) for that priviledge of having it's "DoubleClick Ads" appear on publisher sites, within the Global Exchange Marketplace!!!!

Cheers and good luck. With the much more fairer and transparent (for advertisers) advent of (Global) OPEN Exchanges, I feel Google will need some. Times are a changing. But only an opinion.

Rossjb.

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